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Expansion of Third-Generation 3G Networks in Brazil

18th December 2002

QUALCOMM congratulates Telesp Celular and Telefonica Celular, two of the largest Brazilian mobile operators with a combined total of 13.5 million subscribers, on their third-generation (3G) CDMA2000 1X network expansions in the country's southeastern
region.

Telesp Celular announced on Thursday, December 12, 2002, its new CDMA2000
1X network operations in the cities of Santo Andre, Sao Bernardo, Sao Caetano do Sul and Santos. There are also CDMA2000 1X networks being installed in Baixada Santista, Campinas, Jundiai and Vale do Paraiba, in the state of Sao Paulo and Curitiba, Parana.

 

More than 600 companies have adopted the high-speed wireless Internet
service to improve their corporate productivity. This month Telesp Celular is
also celebrating the one year anniversary of its CDMA2000 1X service in Sao
Paulo, the first commercial 3G network in Latin America.

"The demand for additional coverage, services and applications by our
enterprise consumers is the leading reason for Telesp's expansions," said
Gilson Rondinelli, president of Telesp Celular. "Our customers have generated
approximately 100 gigabytes of data traffic per month, having increased our
data revenue 400 percent in the last six months. The expansions will allow us
to continue offering more enhanced data services in these regions, while
solving our voice capacity needs for the next few years."

Additionally, Telefonica Celular launched its CDMA2000 1X mobile services
in the main areas of Vila Velha, Cariacica, Serra and Vitoria, as well as the
ocean coast of Vitoria and Vila Velha in the state of Espirito Santo.
Telefonica Celular currently has 3G networks operating in the state of Rio de
Janeiro, including airport areas, downtown, southern and western regions,
Recreio dos Bandeirantes, Barra da Tijuca and Itanhanga.
"We will be able to provide high-speed mobile Internet services to
thousands of Telefonica customers in Espirito Santo," said Paulo Cesar
Teixeira, executive vice president of Telefonica Celular. "Consumers can now
have an enhanced wireless experience through the numerous features and
applications that 3G offers such as e-mail, position-location services and
gaming capabilities."

"Telesp Celular and Telefonica Celular's network expansions demonstrate
the viability of CDMA2000 1X," said Jeff Jacobs, president of global
development for QUALCOMM. "Besides enabling these operators to deliver more
value to their customers, including advanced voice and data services, and a
wide range of devices and applications, CDMA2000 1X offers a compelling
3G business model that results in new revenue sources and increased average
revenue per user and greater return on investment."

Since the introduction of CDMA2000 1X in October 2000, there have been
29 carrier launches in 14 countries worldwide. 3G services are already
available through local carriers in other parts of Latin America such as
Chile, Colombia, Ecuador, Puerto Rico and Venezuela. QUALCOMM supports
CDMA2000 1X with chipsets and system software that offer a variety of advanced
features, including multimedia and position location technologies

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Expansion of Their Third-Generation 3G Networks in Brazil
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